What US Audit Inspections Mean for Big Four China: Explained (1)

The US accounting oversight board on Wednesday released the first batch of inspection results for audit firms based in China, a historic step that’s ended a years-long struggle to open up the work of auditors responsible for vetting the revenue and cash for $1 trillion worth of Chinese stocks listed in New York.

“The reports are a big first step. By shining a light on deficiencies, our inspection reports provide investors, audit committees and potential clients with important info so they can make informed decisions and hold firms accountable,” said Erica Williams, chair of the Public Company Accounting Oversight ...